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The devil's in the details - regulating financial innovation
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With elections in India in a few months, the war on terror must be squarely at the centre of the political agenda. Not far away will be regulation of finance. As Sonia Gandhi put it, the poor had nothing to do with fancy sounding financial instruments. The livelihoods of the poor are at great risk now that financial globalisation has spread the damaging effects of some types of innovative finance across the world. Dr Paul Kattuman looks at the unintended consequences of complex, unproven financial products and the lessons that need to be learnt from the crisis.
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